China's courier companies are having to invest in new aircraft for their air cargo fleet, or pursue mergers and acquisitions, in order to stay in the game as competition intensifies in the local air freight sector, particularly, from domestic airlines, according to the Shipping Gazette.
The moves are afoot despite cargo and mail volumes at all airports in China falling 1.4 per cent in the first quarter compared to the same period a year earlier. Twenty of the nation's biggest airports have experienced negative growth, according to the latest data from China's Civil Aviation Administration (CAAC).
According to reports by China Business News, China Eastern Airlines Corp Ltd and China Southern Airlines Co Ltd are preparing to establish their own shipping firms by early 2013.
Shanghai-based STO Express Co Ltd has launched an ambitious plan to set up an air cargo unit by purchasing six to eight aircraft next year.
Shen Tao, the company's public relations officer, was cited as saying in a report by China Daily that more than 20 per cent of its parcels are delivered by air, and as the figures continue to rise, the only sensible move is to invest in its own air fleet. The company works with China Southern Airlines, China Eastern Airlines and Air China. |
